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Fundamentals of Business Economics
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CIMA BA1 Questions and Answers
A car dealer uses the following trend equation to estimate the number of cars sold each quarter
Y = 120 + 3t
Where y = number of cars sold each quarter and t = time period expressed in units
What is the forecasted number of cars sold in period 12. if there is an additive seasonal factor of 55?
Company GHI wishes to develop a linear model for forecasting tractor sales based on the number of sales people it employs. In the model, tractor sales will be the dependent variable and the number of sales people the independent variable
The company has collected sales data from each of its branches over the past year which has been reported below:
The following scatter diagram displays the total life expectancy in years on the X axis and GDP per capita (constant 2000 S) on the Y axis, in Country S for the past 40 years. Which of the following statements is true in respect of the graph?
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Studying BA1 equips you with a strong foundation in how businesses operate within different economic environments. You'll understand demand and supply, market structures, and the impact of global trade all of which help you make better business decisions or pass interviews confidently.
BA1 sets the stage for your CIMA journey. It builds the economic thinking skills you'll need for later modules like Business Strategy and Financial Management. Think of it as learning the rules before playing the game without BA1, navigating the rest becomes harder.
Not at all! CIMA designed BA1 to be beginner-friendly. Even if you're from a science or arts background, the course introduces concepts from the ground up with relatable business examples like pricing at McDonald’s or competition among ride-hailing apps.
Absolutely. BA1 explains how inflation, interest rates, and government policies affect business decisions. For instance, understanding how central banks impact borrowing can help you assess investment risks in your own company or startup.
BA1 covers four key areas:
These help you understand everything from how markets work to interpreting business data.
On average, candidates spend around 80–100 hours preparing for BA1. This includes reading, practice questions, and mock tests. If you plan 10 hours per week, you could be exam-ready in just 2 to 3 months.
The CIMA BA1 exam is computer-based, consisting of 60 objective questions to be completed in 2 hours. The questions include multiple-choice, drag-and-drop, and fill-in-the-blank formats ideal for testing conceptual understanding and application.
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